Multnomah County is withholding reimbursement to the shelter contractor Sunstone Way for the months of April, May and June while it completes a fiscal compliance review of the nonprofit’s spending.
Sunstone Way, formerly known as All Good Northwest, is in the final stages of an abrupt collapse, which first received public attention in March when WW reported that its former finance manager had sued the nonprofit for retaliation after she questioned spending decisions. Later that month, Sunstone Way announced it would cease operations, laying off all 175 staffers who worked at three pod villages and two homeless shelters it oversaw.
County officials say they had already scheduled a review of whether Sunstone Way complied with spending rules—but they tell WW pausing payment for three months of expenses is the only way the county can ensure it will recoup any misspent dollars, given that Sunstone is shutting down June 30…